Askari Metals Raises A$694k, Acquires 1,600km² African Gold-Copper Projects

Strategic Shift to Ethiopian Gold and Copper

Askari Metals Limited (ASX, AS2) has entered a transformative phase, pivoting decisively towards gold and copper exploration in Ethiopia. During the June quarter, the company secured a binding agreement to acquire a substantial portfolio of gold projects spanning approximately 460 square kilometres within the Adola Greenstone Belt. This region, part of the Arabian-Nubian Shield, is renowned for hosting multi-million-ounce gold deposits, including Ethiopia’s only modern gold mines at Sakaro and Lega Dembi, which have collectively produced over three million ounces to date.

Following the quarter’s end, Askari further expanded its footprint by entering a binding agreement to acquire the Nejo Gold and Copper Project in central-western Ethiopia. Covering a district-scale landholding of 1,174 square kilometres on the Tulu Dimtu Shear Belt, Nejo lies near established mines such as Tulu Kapi and Kurmuk, with historical drilling and sampling confirming high-grade mineralisation. The company plans to commence a regional exploration program shortly, underscoring its commitment to building a tier-1 gold and copper portfolio in the region.

Polymetallic Potential in Namibia’s Uis Project

Parallel to its Ethiopian ambitions, Askari has advanced exploration at its Uis Project in Namibia, focusing on tin, tantalum, rubidium, and lithium mineralisation. A comprehensive reinterpretation of historical data has highlighted exceptionally high-grade mineralisation across multiple pegmatite targets, with assay results including tin oxide grades exceeding 4%, tantalum oxide in the thousands of parts per million, and significant rubidium concentrations.

The Uis Project’s strategic location adjacent to the operating Uis Tin Mine, owned by Andrada Mining Ltd, enhances its value proposition. Planned Phase I field programs on the wholly owned EPL 7626 licence will include mapping, rock chip sampling, and soil geochemical surveys aimed at identifying buried lithium-caesium-tantalum pegmatites, potentially unlocking further polymetallic resources.

Corporate Developments and Financial Position

Askari successfully raised A$694,500 through an ordinary share issue during the quarter, with funds earmarked for advancing its African exploration strategy and ongoing work at the Uis Project. Executive Director Gino D’Anna also plans a further investment, subject to shareholder approval. The company appointed Timothy Morrison as a Non-Executive Director and re-appointed D’Anna as Executive Director, strengthening its leadership team to support its strategic pivot.

Financial discipline remains a priority, with Askari repaying A$200,000 of its convertible note, reducing the outstanding balance to under A$500,000. Cost reduction initiatives have been implemented to maximise funding efficiency for exploration activities. Despite a low cash balance of A$83,000 at quarter-end, the company holds an undrawn working capital facility of A$350,000 and is actively preparing for a capital raising to sustain its operations and exploration programs.

Strategic Focus and Outlook

Notably, Askari has ceased pursuing uranium investments in Tanzania to concentrate resources on its gold and copper projects in Ethiopia and polymetallic opportunities in Namibia. The company emphasizes building long-term, transparent relationships with local communities and stakeholders, aiming to contribute positively to sustainable development and economic impact in the regions it operates.

Executive Director Gino D’Anna highlighted the company’s first-mover advantage on the Arabian-Nubian Shield and the potential to unlock value through systematic, modern exploration. As Askari advances its reconnaissance programs and infrastructure development, the market will be watching closely for early exploration results that could validate its ambitious African strategy.